• Market Changes

• Guaranteed Rate Solutions

• Why choose Guaranteed Rate

Agenda

Market Changes

• Federal Housing Bailout and Government Stimulus Package

• Second Mortgages• CLTV > 85% are not eligible.• Stated Income eliminated• Non- Owner properties eliminated

• Jumbo Loans• Market liquidity has led to more restrictive guidelines (i.e. higher credit scores, etc..)

• FICO Restrictions• PMI requires a higher min FICO• Monthly premiums vary based on FICO score• Higher score = Lower premiums

• Elimination of programs- Stated/No Doc

• Declining Markets• More stringent appraisal requirements. Tougher to support value.• Additional PMI restrictions (Condos > 90% LTV, Non-owner properties ineligible, higher FICO scores

required, etc.)

Guaranteed Rate Mortgage Solutions

• FHA & VA Loans

• Conventional Fixed and Adjustable Rate Mortgages

• Jumbo Loan programs

• Affordable Housing Programs

• First Time Home Buyer Programs

• Lowest Rates in the Market

• Realtor Advantage Program

FHA Loans

• Guaranteed Rate is a government approved FHA mortgage bank

• Lower down payment – only 3.5% required

• Gift funds OK for down payment 

• More flexible credit guidelines make it easier to qualify

• Lower Minimum FICO score, no income limits

• Non-Occupying co-borrowers allowed

• Loan Amounts vary by county (Go to https://entp.hud.gov/idapp/html/hicostlook.cfm for

loan amounts)

• Not just for first-time home buyers

VA Loans

• ZERO down payment is required in most cases

• NO monthly Mortgage Insurance

• Relaxed credit standards, so perfect credit is NOT required

• NO income caps

• NO reserves required

• Flexible underwriting with expanded debt ratios

• Seller or other parties may contribute up to 4% of the

Veteran’s closing costs

Conventional & Jumbo Loan Programs

Conventional Fixed & Adjustable Rate Mortgages:

• SFH – 5% Down (Max 95% LTV)

• Condos – 5% Down in Chicago area (Max 95% LTV); 10% Down

elsewhere –Chicago MSA counties:

https://www.efanniemae.com/sf/refmaterials/hudmedinc/hudincomeresults.jsp

Jumbo Loans – Adjustable Rate Mortgages:

• Programs available up to $3,000,000 (varies by state – check for LTV/CLTV restrictions)

• 90% Loan To Value Programs (varies by state)

 

• 3% Down Payment Programs (Fannie Mae’s My Community &

Freddie Mac’s Home Possible) designed to help first time homebuyers

• Higher LTV thresholds allowed under the program (depending on

number of units and property location) – 97% LTV

• 1-4 unit primary residences allowed  

• Additional flexibilities for teachers, firefighters, law enforcement officers,

healthcare workers and military personnel (varies by state & county) 

• Closing costs can be paid from gift from a related person

• Reduced mortgage insurance coverage levels 

Affordable Housing Programs

Home Buyer Programs

First-Time Home Buyer Tax Credit• Up to $8,000 for homes purchased on or between January 1 -

December 1, 2009

• Does not have to be repaid

• Equal to 10% of the home’s purchase price up to a maximum of $8,000

• Single taxpayers with incomes up to $75,000; married couples with incomes up to $150,000

Builder-Paid PI • Principal & Interest paid by builder for first 6 months

Guaranteed Rate Advantage

• Lowest Rates – Guaranteed!

• More Products and Better Pricing

• Faster Turnaround and Better Service: We Control the Transaction:

• In House Underwriting Department

• In-House Closing Department

• In-House Funding Department

• In-House Secondary Marketing Department – Best Pricing

Realtor Partner Program

Value-added marketing tools to help Realtors build their

business:

• Broker Open Catering

• Virtual Tours

• Home Loan Analysis Sheets

• Daily Mortgage Rate Search Engine

• Neighborhood Reports

• Just Listed – Just Sold Postcards

• Co-Branded Custom Marketing (Postcards, Quarterly Newsletter, Flyers, Signage)

About Guaranteed Rate

Guaranteed Rate was founded in 2000 and since its inception has experienced double digit growth each year, becoming the largest independent mortgage company in the nation -- and is growing strong.

Headquartered in Chicago, with over 600 employees companywide and offices throughout the U.S. and currently licensed in 43 states.

As a mortgage bank, we offer the best of both worlds --- the financial strength of a large bank and the flexibility of a mortgage broker.

Closed Loan Volume of $4 Billion for 2008

Guaranteed Rate In the News